MOSCOW (MRC) -- Indorama Ventures Public Company Limited (IVL), a world-leading producer of intermediate petrochemicals, announced the acquisition of Indian Polyethylene Terephthalate (PET) manufacturer Micro Polypet Private Limited (MicroPet), subject to necessary legal approvals, as per company's press-release.
Situated in Panipat district, Haryana state, India, the plant is 90 km north of Delhi and has a capacity of 216,000 tonnes. MicroPet is the sole PET manufacturer in Northern India and has virtual integration with the Indian Oil Corporation (IOCL) for its two major feedstocks PTA and MEG. Currently MicroPet has approximately 12% of the capacity share in India, a country with a population of 1.25 billion. It utilizes melt-to-resin technology that IVL has experience with at its AlphaPet plant in Alabama, the USA.
Mr. Aloke Lohia, Group CEO of Indorama Ventures said, "This is a unique opportunity for us to establish a foothold in one of the world’s fastest-growing developing economies. The acquisition strategically extends our footprint and scale and enhances our relationship with the world’s fast moving consumer goods brands, all of who have their eye on this huge consumer market," explains Lohia. "We are entering at the early stages of PET usage as just 0.6 Kg of PET per annum is consumed in India today compared to 2.6 Kg per annum in China and 10.9 Kg per annum in the USA. Since we are now firmly established in two of Asia’s largest population centers, China and Indonesia, India has been the missing piece of our Asian market access."
As MRC informed earlier, Indorama Ventures in April 2015 completed acquisition of 100 per cent stake in Performance Fibers Asia (PF Asia), the company said in a filing to the Stock Exchange of Thailand.
Indorama Ventures is a leading producer in the polyester value chain in Thailand with strong global network and manufacturing across Asia, Europe and North America. Its products serve major players in diversified end use markets, including food, beverages, personal and home care, health care, automotives, textile, and industrial. The company’s main products are PTA, PET and polyester fibre, which are distributed across the world.